v3.26.1
Stock-Based Compensation and Warrants
 9 Months Ended
Jun. 27, 2026
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation and Warrants Stock-Based Compensation and Warrants
The following two tables show stock-based compensation expense by award type and where the stock-based compensation expense is recorded in the Company’s condensed consolidated statements of operations (in thousands):
Three Months Ended
Nine Months Ended
June 27, 2026
June 28, 2025
June 27, 2026
June 28, 2025
RSUs (service-based and performance-based)
$
47,145 
$
37,716 
$
139,470 
$
95,102 
Employee stock purchase plan
1,266 
972 
3,432 
2,854 
Total stock-based compensation expense
$
48,411 
$
38,688 
$
142,902 
$
97,956 
Effect of stock-based compensation expense on income by line item (in thousands):
Three Months Ended
Nine Months Ended
June 27, 2026
June 28, 2025
June 27, 2026
June 28, 2025
Cost of revenue, Systems
$
16,511 
$
11,039 
$
38,752 
$
21,119 
Cost of revenue, Software maintenance and support
336 
143 
1,088 
397 
Cost of revenue, Operation services
698 
631 
2,712 
1,329 
Research and development
8,037 
9,950 
30,821 
30,929 
Selling, general, and administrative
22,829 
16,925 
69,529 
44,182 
Total stock-based compensation expense
$
48,411 
$
38,688 
$
142,902 
$
97,956 
Exol Warrant
On July 23, 2023, the Company issued the Exol Warrant to Sunlight, which allows Sunlight to acquire up to an aggregate of 11,434,360 shares of the Company’s Class A Common Stock, subject to certain vesting conditions. The Exol Warrant had a grant date fair value of $19.90 per share. The Exol Warrant vests upon conditions defined in the Exol Warrant, as Exol makes additional expenditures to the Company in connection with the Framework Agreement. There are up to eight vesting tranches in the Exol Warrant based on increments of expenditures where approximately 1,429,295 shares may vest per tranche, subject to certain conditions defined in the Exol Warrant. Upon vesting, shares may be acquired at an exercise price of $41.9719 per share. The warrant contains customary anti-dilution, down-round, and change-in-control provisions. The right to purchase shares pursuant to the Exol Warrant expires 36 months following the end of the initial term of the Framework Agreement, which is July 23, 2027, or if applicable, the extension term of the Framework Agreement, which is July 23, 2029. As of June 27, 2026, none of the shares issuable pursuant to the Exol Warrant had vested.